Daily Market Recap Apr 23 – REE & PNJ, MBB, LPB, DGC Earnings Flash

Market commentary: Stocks slump for fifth day in six

After briefly trading in positive territory in the morning session, the VN-Index fell into the red the rest of the day to close down 12.82 points, or 1.1%, to 1,177.40, its fifth down day in the last six. The HNX Index followed a similar pattern, closing at 222.6 (-1.2%).

Technology and retail services stocks were in the green throughout the session, led by FPT (+1.81%) and MWG (+2.47%).
Conversely, the banking industry slid, with CTG (-2.5%), BID (-1.4%), MBB (-2.7%) and VCB (-0.5%) becoming the focus of negative sentiment in the market today, which contributed -3.5 points to the VN-Index. The main cause for concern was that the OMO interest rate increased by 2.5%, and investors consider it an indicator that may push the SBV to increase operating interest rates. However, the actual OMO interest rate is not the operating interest rate.

Going against the bank industry trend, TCB (+2.1%) led the sector’s gains thanks to Q1 positive results with profit before tax increasing 39% yoy.

Market sentiment for the real estate group (-2.3%) was still gloomy as there was no news about resolving difficulties for businesses and real estate transactions in the recovering market. VHM experienced the sharpest decline at -3.0%, followed by VIC (-2.4%). Following closely behind were food & beverage stocks (-1.4%), with MSN stocks (-3.3%) experiencing significant net selling by foreign investors with net sold value of US$2.0mn. As a result, MSN and VHM were the two biggest laggards in the market.

In addition, the construction & material sector (-0.6%) also fell, led by HSG (-3.5%) and POM (-3.7%) . Despite heavy foreign buying, HPG fell today with net purchases amounting to VND102.8bn (US$4.1m). NKG (-6.8%) fell to its floor.

Foreign investors net sold VND291bn (US$11.7mn) today. HPG (-1.4%), MWG (+2.5%), SSI (-1.7%), BID (-1.4%) and VCB (-0.5%) were the most heavily bought tickers, with net purchases amounting to around VND314bn (US$12.7mn). On the other hand, VHM (-3.0%), DIG (-4.6%), MSN (-3.3%), VND (-2.5%) and SHB (-2.7%) were the top five stocks sold the most by foreigners, with a total net selling value of US$14.7mn.

Read the full report: HERE